What is Fixed exchange rate system
Fixed exchange rate system (or pegged exchange rate system): This is a system in which exchange rate of a currency is fixed by government. This system makes sure stability in the foreign trade and capital movement.
‘Can foreign exchange markets be analyzed in similar manner as the markets for ordinary physical commodities? Do demand slope downwards and supply slope upwards for currencies?’
Fixed exchange rate: It is the rate of exchange which is fixed by the Government in an economy.
Assume that El Salvador can generate coffee at lower opportunity costs than Spain, whereas Spain can generate olive oil at lower opportunity costs than El Salvador. The citizens of both countries can potentially profit from international trade since of the efficiency
Identify the key challenges to india's economic development. To what extent the second generation reforms will tackle the current challenges of india's development
State the items that are not involved in the current account of India’s Balance of payment. Answer: The capital transactions is in the form of direct and portf
‘The pound has enhanced today on the foreign exchange market’ is a general media comment whenever the pound sterling appreciates. When the pound appreciates is it always excellent news for business and the economy?’
The balance of payment account (BOP) account is the statement of each and every economic transaction which takes place between a nation and rest of the world throughout a particular period. BOP account generally comprises of (a) Current account and (b
5. What are the factors responsible for the recent surge in international portfolio investment?
Can someone help me in determining the right answer from the given options. The economic growth in a country is least possible to occur as a result of: (1) Advances in the technology (2) Rises in rates of saving and investment. (3) Enhancements in its
Explain all the approaches of Paul Samuelson.
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